Intrusion (INTZ) AI Stock Analysis

• Market Cap: $38.81M
• Dividend Yield: N/A
• Average Volume (3M): 220.14K
• Price to Earnings (P/E): ―
• Beta (1Y): 2.44
• Revenue Growth: 25.86%
• EPS Growth: 85.97%
• Country: US
• Employees: 45
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Infrastructure
• EPS (TTM): -0.10
• Shares Outstanding: 19,900,043
• 10 Day Avg. Volume: 193,698
• 30 Day Avg. Volume: 220,138
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.00
• Enterprise Value/Revenue: 5.70
• Enterprise Value/Gross Profit: 7.50
• Enterprise Value/Ebitda: -5.78
• 1Y Price Target: $2.00
• Price Target Upside: 2.56% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 2

• Rating: 49 Neutral
• Price Target: $2.00 ▲(2.56% Upside)

Intrusion's overall stock score reflects significant financial challenges, including ongoing losses and cash flow difficulties, which weigh heavily on the score. Technical analysis provides mixed signals, with a neutral short-term trend. Valuation is unattractive due to negative earnings and no dividend yield. The earnings call offers some optimism with revenue growth and strategic expansions, but financial challenges remain a concern.

Positive Factors

Consistent Revenue Growth

Consistent revenue growth over multiple quarters indicates strong market demand and effective sales strategies, enhancing long-term business stability.

Department of Defense Contract Expansion

The expanded Department of Defense contract strengthens Intrusion's market position in government sectors, providing a stable revenue stream and potential for future growth.

High Gross Profit Margin

A high and stable gross profit margin indicates efficient cost management and pricing power, supporting long-term profitability and competitive advantage.

Negative Factors

Net Loss

Ongoing net losses highlight challenges in achieving profitability, which can strain resources and limit investment in growth opportunities.

Increased Operating Expenses

Rising operating expenses, particularly in R&D and compensation, may pressure margins and delay profitability, affecting financial health and strategic flexibility.

Cash Flow Challenges

Negative cash flows limit the company's ability to fund operations and growth initiatives internally, increasing reliance on external financing and impacting financial stability.

Intrusion Business Overview & Revenue Model

Company Description

Intrusion Inc. (INTZ) is a cybersecurity company that specializes in providing advanced threat detection and prevention solutions. Operating primarily in the cybersecurity sector, Intrusion focuses on developing innovative technologies to protect businesses from cyber threats, including data breaches and ransomware attacks. The company's core products include its intrusion detection systems, threat intelligence services, and managed security services, designed to safeguard sensitive information and ensure compliance with regulatory standards.

How the Company Makes Money

Intrusion generates revenue through multiple streams, including the sale of its cybersecurity software solutions, subscription-based services for threat detection and monitoring, and consulting services for organizations seeking to enhance their security posture. The company typically charges customers on a recurring basis for its managed services and software licensing, which provide a steady revenue flow. Additionally, strategic partnerships with other technology firms and integrations with third-party platforms help widen its customer base and enhance service offerings, further contributing to its earnings.

Intrusion Financial Statement Overview

Summary

Intrusion faces significant financial challenges, with ongoing losses and cash flow difficulties. While there are improvements in leverage and cost management, the company struggles with profitability and liquidity. The financial health remains precarious, requiring strategic adjustments to achieve sustainable growth and stability.

Income Statement

Intrusion's income statement reveals a challenging financial position with consistent negative net profit margins and EBIT margins over the years, indicating ongoing losses. Despite a slight revenue growth in the TTM period, the company has struggled to convert this into profitability, as evidenced by the negative EBIT and EBITDA margins. The gross profit margin remains relatively strong, suggesting some efficiency in cost management, but overall profitability remains elusive.

Balance Sheet

The balance sheet shows a moderate debt-to-equity ratio, which has improved in the TTM period, indicating better leverage management. However, the negative return on equity highlights the company's inability to generate profits from its equity base. The equity ratio is low, reflecting a limited buffer to absorb financial shocks. While there are signs of improved financial structure, profitability remains a concern.

Cash Flow

Cash flow analysis indicates persistent negative operating and free cash flows, with a declining trend in free cash flow growth in the TTM period. The operating cash flow to net income ratio is negative, reflecting cash flow challenges. Although the free cash flow to net income ratio is positive, it is primarily due to large net losses rather than strong cash generation, highlighting liquidity concerns.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	6.83M	5.77M	5.61M	7.53M	7.28M	6.62M
Gross Profit	5.19M	4.43M	4.35M	4.17M	4.65M	3.91M
EBITDA	-6.73M	-6.14M	-10.34M	-12.26M	-17.76M	-5.99M
Net Income	-8.15M	-7.79M	-13.89M	-16.23M	-18.80M	-6.52M
Balance Sheet
Total Assets	16.36M	11.51M	6.25M	9.28M	9.23M	19.88M
Cash, Cash Equivalents and Short-Term Investments	8.44M	4.85M	139.00K	3.02M	4.10M	16.70M
Total Debt	1.77M	2.73M	12.93M	11.32M	3.50M	3.01M
Total Liabilities	4.72M	5.26M	15.80M	13.49M	5.31M	4.22M
Stockholders Equity	11.63M	6.25M	-9.55M	-4.21M	3.92M	15.66M
Cash Flow
Free Cash Flow	-7.34M	-6.83M	-9.21M	-14.67M	-17.71M	-5.50M
Operating Cash Flow	-5.51M	-6.29M	-7.77M	-13.19M	-16.56M	-5.18M
Investing Cash Flow	-6.26M	-1.81M	-1.45M	-1.48M	-1.15M	-320.00K
Financing Cash Flow	14.95M	12.81M	6.34M	13.58M	5.10M	18.87M

Intrusion Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.95
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For INTZ, the sentiment is Positive. The current price of 1.95 is above the 20-day moving average (MA) of 1.74, above the 50-day MA of 1.84, and above the 200-day MA of 1.63, indicating a bullish trend. The MACD of -0.01 indicates Negative momentum. The RSI at 63.11 is Neutral, neither overbought nor oversold. The STOCH value of 76.19 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for INTZ.

Intrusion Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
QLYS	74 Outperform	4.89B	27.01	36.41%	―	9.69%	9.50%
VRNS	72 Outperform	6.51B	-63.37	-30.14%	―	14.29%	-14.42%
XYZ	67 Neutral	46.96B	16.48	13.35%	―	1.41%	262.31%
INTZ	49 Neutral	$38.81M	―	-111.75%	―	25.86%	85.97%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

Intrusion Corporate Events

Intrusion Inc. Stockholders Approve Key Proposals

Intrusion Inc. held its Annual Meeting of Stockholders on August 19, 2025, where stockholders voted on three key proposals. These included the election of five directors, the ratification of Whitley Penn LLP as independent auditors for the fiscal year ending December 31, 2025, and the approval of executive compensation on an advisory non-binding basis. The meeting saw a quorum with 55.45% of eligible votes represented, and all proposals were approved by the stockholders.

Intrusion Enters $50M Market Offering Agreement

On June 12, 2025, Intrusion, Inc. entered into an At The Market Offering Agreement with H.C. Wainwright & Co., LLC, allowing the company to issue and sell up to $50 million of its common stock. This agreement enables Intrusion to raise capital through market offerings, potentially enhancing its financial flexibility and market positioning, while also providing indemnification to the sales agent against certain liabilities.

Intrusion to Terminate Stock Offering by June 11

Intrusion has filed a prospectus supplement to its registration statement, allowing it to offer and sell up to $50 million in common stock through B. Riley as the sales agent. However, as of the current report date, no shares have been sold, and the company plans to terminate the offering following June 11, 2025, without any further sales.